Sharp decrease in current account surplus

In April 2025, Germany’s current account recorded a surplus of €23.5 billion, down €9.4 billion on the previous month’s level. This was attributable to smaller surpluses in the goods account and especially in invisible current transactions, which comprise services as well as primary and secondary income. 

In April, the surplus in the goods account fell by €3.5 billion to €16.9 billion because receipts recorded a sharper decline than expenditure. The decrease in exports to the United States, which had risen strongly in previous months owing to anticipatory effects in the face of the US administration’s expected tariff increases, was a notable factor behind the decline in exports.

The surplus in invisible current transactions decreased by €5.9 billion to €6.7 billion. This was mainly due to the deficit in the services account widening by €4.3 billion to €6.6 billion. Receipts were down overall, chiefly owing to lower receipts from other business services and computer services. Expenditure also rose, mainly due to greater expenditure on travel. On top of this, net receipts in the primary income account fell by €2.1 billion to €17.9 billion. Higher dividend payments to non-residents for their portfolio investment played a key role here. By contrast, the deficit in the secondary income account narrowed slightly by €0.4 billion to €4.7 billion. 

Lower net capital exports

German net capital exports were lower in April than in the previous month (€17.7 billion, after €69.3 billion in March).

Direct investment generated net capital imports of €1.2 billion in April (following net capital exports of €11.8 billion in March). Foreign enterprises provided their German affiliates with additional direct investment funds (€16.5 billion), boosting their equity capital by €9.0 billion and granting additional intra-group loans amounting to €7.5 billion on balance. German enterprises stepped up their foreign direct investment by €15.2 billion, boosting equity capital by €9.8 billion and increasing the volume of lending to affiliates abroad by €5.4 billion. 

Germany’s cross-border portfolio investment recorded net capital exports of €14.2 billion in April (after €3.3 billion in March). Domestic investors added €6.7 billion worth of securities issued by non-residents to their portfolios on balance. They purchased foreign bonds (€10.5 billion), mutual fund shares (€1.6 billion) and money market paper (€0.4 billion), but sold shares (€5.8 billion). Foreign investors divested themselves of German securities to the tune of €7.5 billion net, selling German money market paper (€13.8 billion) and shares (€2.6 billion). By contrast, they increased their holdings of bonds (€8.3 billion) and mutual fund shares (€0.6 billion). 

In April, transactions in financial derivatives resulted in net outflows of €2.5 billion (following €8.0 billion in March). 

Other statistically recorded investment – which comprises loans and trade credits (where these do not constitute direct investment), bank deposits and other investments – registered net capital exports amounting to €1.6 billion in April (following €46.6 billion in March). This was mainly due to net capital exports by monetary financial institutions excluding the Bundesbank (€2.5 billion) and by enterprises and households (€1.8 billion). General government recorded net capital imports in other investment; these amounted to €2.4 billion. Bundesbank account transactions were almost balanced, with modest net capital imports (€0.2 billion). Here, the Bundesbank’s TARGET claims on the ECB increased by €6.1 billion. At the same time, its external liabilities in the form of currency and deposits declined. 

The Bundesbank’s reserve assets rose – at transaction values – by €0.5 billion in April.